Appeal against Order for obtaining possession under Section 14 is maintainable - Appeal can be entertained even before handing over of possession to Secured Creditor in pursuance of Order passed under Section 14

Citation 

2015 (2) CWC 261 (Mad)

IN THE HIGH COURT OF MADRAS

Satish K. Agnihotri & M. Venugopal, 11.

W.P. No. 13451 of 2015 & M.P. Nos. 1 & 2 of 2015.

June 17, 2015

Deccan Chronical Holdings Limited, A Company Incorporated Under the Companies Act, 1956, Having Its Registered Office At 36, Sarojini Devi Road, Secunderabad-500 003, Andhra Pradesh

Vs

Canara Bank, Rep. by Its Authorized Officer, Prime Corporate Branch, Tsr Complex, S.P. Road, Secunderabad-500 003

Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002) (SARIAESI Act), Sections 17, 14 & 13(4) Right to Appeal Action of Secured Creditor in taking possession of Secured Asset with assistance of Court Secured Creditor obtained Order from Chief Metropolitan Magistrate Court to take physical possession of asset with assistance of Police Borrower filed Appeal before Debt Recovery Tribunal-Whether Appeal to DRT is available against Order passed by CMM under Section 14-DRT rejected Appeal filed by borrower without even numbering, following decision of Supreme Court in Harshad Govardhan Sondagar v. International Assets Reconstruction Company Limited, 2014 (5) CTC 546 (SC) Contention of Bank that Appeal is not maintainable before handing over of physical possession of Secured Asset to Secured Creditor in pursuance of Order passed by CMM Whether handing over of physical possession of Secured Asset is pre-condition to maintain to Appeal before DRT-Held, passing Order of assistance for taking physical possession of asset is in continuation of recovery measure envisaged under Section 13(4)- Appeal against Order for obtaining possession under Section 14 is maintainable Appeal can be entertained even before handing over of possession to Secured Creditor in pursuance of Order passed under Section 14 Statutory right of Appeal envisaged under statute cannot be defeated by introducing pre- condition of handing over possession of asset to Secured Creditor Law laid down in Standard Chartered Bank v. V. Noble Kumar, 2013 (6) CTC 683 (SC) applied and followed. [Paras 11 to 14]